Official Reply on the Issue of the Income Tax Treatment of Sale-leaseback Transactions by Foreign-invested Enterprises that Engage in Real Property Development

关于从事房地产开发的外商投资企业售后回租业务所得税处理问题的批复

The Reply clarifies under which case an enterprise assigns interests in, or risks attaching to, an asset through a sale-leaseback transaction it shall be deemed to have transferred all or part of the ownership of the immovable property.

(Issued by the State Administration of Taxation on May 31 2007.)

(国家税务总局于二零零七年五月三十一日发布。)

Guo Shui Han [2007] No.603

国税函 [2007] 603号

Hunan Provincial Office of the State Administration of Taxation:

湖南省国家税务局：

Your Request for Instructions Concerning the Issue of Enterprise Income Tax on the Sale-leaseback Transactions of Real Property Developers (Xiang Guo Shui Fa [2006] No.106) has been received. We give our official reply as follows:

你局《关于房地产开发经营企业售后回租业务有关企业所得税问题的请示》（湘国税发〔2006〕106号）收悉。批复如下：

1. A foreign-invested enterprise engaging

一、从事房地产开发经营的外商投资企业以销售方式转让其生产、开发的房屋、建筑物等不动产，又通过租赁方式从买受人回租该资产，企业无论采取何种租赁方式，均应将售后回租业务分解为销售和租赁两项业务分别进行税务处理。企业销售或转让有关不动产所有权的收入与该被转让的不动产所有权相关的成本、费用的差额，应作为业务发生当期的损益，计入当期应纳税所得额。